May 12, 2017 (Shareholders Foundation) - An investigation on behalf of investors of DryShips Inc. (NASDAQ:DRYS) shares over potential securities laws violations by DryShips Inc. and certain of its directors and officers in connection with certain financial statements was announced.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of DryShips Inc. (NASDAQ:DRYS) concerning whether a series of statements by DryShips Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

DryShips Inc. reported that its annual Total Revenue declined from $969.83 million in 2015 to $51.93 million in 2016 and that its Net loss decreased from over $2.84 billion in 2015 to $198.69 million in 2016.

From November 9 through November 16, 2016, DryShips Incs stock price rose from $163 to $2,336 per share.

The Wall Street Journal reported 'A day after shares peaked,' DryShips Inc. 'embarked on a series of stock sales totaling more than $500 million,' and continued to describe how DryShips sold its stock to Kalani Investments, which then sold the stock to 'small investors.' It was further promoted that this 'sequence of events' could 'yield' George Economou, DryShips Inc's Chairman and Chief Executive Officer, 'tens of millions in profits.'